Twenty Countries' Hot Debate On "Post Crisis" Strategy

On June 27th, the fourth summit of leaders of the group of twenty was held in Toronto, Canada. Chinese President Hu Jintao attended the summit.

Xinhua News Agency reporter Fan Rujun photo

Xinhua net Toronto on June 27 (reporter Chen Gang) since last year twenty nations group Pittsburgh summit, the world economy continues to recover.

However, with the signs of economic improvement, the willingness of countries to cooperate has gradually weakened, and the debt crisis of the euro zone has erupted, and the world economy is likely to bottom again. These problems are worrying all governments, markets and even the general public.

The fourth summit of the group of twenty leaders ended in Toronto, Canada on the 27 day.

An important contribution of the Toronto summit of the group of twenty is to convey the message to the world that although the differences between the parties remain on some issues, the world's major economies are willing to work together to promote economic growth and ensure the sustained recovery of the global economy.

The group of twenty clearly stated in the conference manifesto that strengthening economic recovery is the solution to various problems.

The declaration said that with concerted efforts from all over the world, the financial system stabilized and personal consumption picked up through concerted fiscal and monetary policies.

However, the conference declaration also pointed out that the unbalanced development of the world economy, the fragile economic recovery and the negative impact of the financial crisis on the society are still the main problems that plagued the world economy.

At the two day summit, members of the meeting coordinated their positions to strike a balance between the continued economic stimulus plan and tightened fiscal policy.

The summit declaration said that countries will coordinate their positions to ensure sustained economic recovery and promote employment so as to achieve sustained, stable and balanced development of the world economy.

The declaration attaches great importance to the debt problems of developed countries and requires developed countries to strive for them.

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The financial crisis that began in the developed countries is the fuse of the global economic recession, and the developed countries are in the world.

China, Japan and other countries oppose the "one size fits all" approach to taxation.

The Chinese side believes that it is a precaution to improve the regulatory standards and establish and improve the regulatory system.

Due to differences among countries, the summit did not reach a compromise on the taxation of the financial system, and the paragraphs of taxation were not mentioned in the declaration.

However, the declaration once again stressed the need to strengthen financial regulation reform, strengthen supervision, deal with system risks and improve pparency.

In addition, Europe and the United States on the economic stimulus plan exit strategy is also open.

As the euro zone is dragged down by the debt crisis, European countries demand control and reduction of fiscal expenditure, while the United States hopes that all countries will continue to stimulate the plan when the overall economic recovery prospects are uncertain.

Members of other twenty member countries, including China and Japan, hope that countries can coordinate and decide on the exit strategy of the stimulus plan according to their own actual conditions.

The summit agreed that all countries decided to implement fiscal policies aimed at promoting development according to the actual situation.

With regard to the global economic imbalance, the summit hopes that developed countries will solve the problem of excessive fiscal deficits by raising the national savings rate, while maintaining market openness and strengthening export competitiveness.

For the trade surplus countries, the summit pointed out that the most urgent task is to get rid of over reliance on exports and enhance domestic demand for economic growth.

On the reform of international financial institutions, the Toronto summit inherited the fruits of previous summits.

According to the resolution of the Pittsburgh summit, all the participating countries have implemented the reform of the voting rights of the world bank.

In view of the fact that the IMF quota issue has not yet been completed, the Toronto summit calls on all countries to speed up their actions to complete the first round of quota reform before the Seoul summit in November.

This summit has made some substantial progress in promoting international trade and investment and opposing trade protectionism.

The summit declaration has promised that by the end of 2013, countries will resist raising or increasing investment barriers in the field of goods and services, oppose increasing export restrictions and oppose policies that are contrary to WTO rules to stimulate exports.

Judging from the overall outcome of the conference, the Toronto summit is more like a link between the past and the future as a result of the differences between countries and the procedural constraints of various reforms. It provides a platform for exchanges and cooperation among the world's major economies.

If the participating parties can effectively implement the consensus reached at several summits, the world economy is expected to continue to recover.